Year 1 Year 2 Year 3 NOI $95,000 $96,900 $98,838 DS 75,000 75,000 75,000 Cash...

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Year 1 Year 2 Year 3 NOI $95,000 $96,900 $98,838 DS 75,000 75,000 75,000 Cash flow $20,000 $21,900 $23,838 Resale in year 3 1,170,450 Less mortgage balance 578,658 Total cash flow $20,000 $21,900 $615,630 Present value of cash flow @ 10% $18,182 $18,099 $462,532 Using the Information from the question above, what would be the equity dividend rate in year 1? O 3.5 percent 5498,813 4.0 percent $20,000 Not enough information

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